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NY Company Hit With H1-B Charges After DOL Investigation Results In $3 Million Back Pay Award

Published by on March 27, 2008

Following up on yesterday’s post on new H1-B rules, I noticed a press release from the Department of Labor announcing that it had charged a New York medical staffing company with multiple violations of the Immigration and Nationality Act relating to H1-B visas after it completed a wage/hour investigation of the company that had resulted […]

Following up on yesterday’s post on new H1-B rules, I noticed a press release from the Department of Labor announcing that it had charged a New York medical staffing company with multiple violations of the Immigration and Nationality Act relating to H1-B visas after it completed a wage/hour investigation of the company that had resulted in a finding of $3 million in back pay liability.

The press release goes on the say that:

“An investigation by the department’s Wage and Hour Division found that 156 H-1B guest workers from the Philippines, brought into the U.S. by APMI to be employed primarily as physical therapists in hospitals and other medical facilities in the New York metropolitan area, are owed almost $3 million in back wages. The investigation revealed that APMI willfully failed to pay required wages, filed lawsuits seeking penalties against some H-1B employees for early cessation of employment, failed to make required documents available for examination, failed to maintain required documentation and used incorrect prevailing wage rates on labor condition applications.”

This announcement, when coupled with the new H1-B rules, appears to be a harbinger of strict DOL enforcement of work-related visa abuse by employers.  Employers using H1-B workers should ensure that current regulations regarding such workers are followed, particularly the prevailing wage rules.

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